the difference between mark price and last price binance
What is the difference between Mark Price and Last Price?To avoid spikes and unnecessary liquidations during periods of high volatility, Binance Futures uses Last Price and Mark Price.
The Last Price is easy to understand. It means the Last Price that the contract was traded at. In other words, the last trade in the trading history defines the Last Price. It’s used for calculating your realized PnL (Profit and Loss).
The Mark Price is designed to prevent price manipulation. It’s calculated using a combination of funding data and a basket of price data from multiple spot exchanges. Your liquidation prices and unrealized PnL are calculated based on the Mark Price.
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Please note that the Mark Price and the Last Price may differ.
When you set an order type that uses a stop price as a trigger, you can select which price you would like to use as the trigger - the Last Price or the Mark Price. To do this, select the price you wish to use in the Trigger dropdown menu at the bottom of the order entry field.